INCOME TAX RATES AND PERSONAL ALLOWANCES
6.04.2024 – 5.04.2025
Tax Free Personal Allowance: £12,570 per year (for people with income limit of up to £100,000).
– Basic tax rate (currently up to £50,270): 20%.
– Higher tax rate (currently between £50,271 and £125.140): 40%.
– Additional tax rate (currently above £125,140): 45%.
– Personal Allowance for dividends: £500 per year.
– Basic tax rate for dividends: 8.75%.
– Higher tax rate for dividends: 33.75%.
– Additional tax rate for dividends: 39.35%.
– Employment Allowance (maximum amount of allowance in National Insurance Contribution class 1 from employer for employers that employee more than 1 director): £5,000 per year.
– NI class 2 for self-employed: £3.45/week (full allowance with income smaller than £6,725 per year).
– NI class 4 for self-employed: 6% for income between £12.570 and £50.270 per year.
– NI class 4 for self-employed: 2% from income above £50.270 per year.
– National Minimum Wage: £11.44/hour.
Start your
OWN COMPANY
If you are thinking about starting your own business, first you need to decide whether you will become self-employed or set up a Limited Liability Company- Ltd.
Ask us for advice if you have doubts which alternative is best for you!
TAX REBATE
Check if you apply for tax rebate in Great Britain.
Use our tax calculator!
